Yesterday’s annual productivity report from the Australian Bureau of Statistics (ABS) revealed that multifactor productivity (MFP) – the key driver of Australian – fell by 0.4% in 2018-19, with labour productivity also registering its first ever fall of 0.2%, or 0.8% when adjusted for the quality of work:
The result led to the usual head-scratching from the mainstream media, with the AFR reporting the following:
Labour productivity in Australia has fallen for the first time in 25 years, raising serious concerns about what economic reforms are in place to improve the productivity of workers…
